Northern Lion Gold Corp.

Northern Lion Gold Corp.

July 14, 2011 14:47 ET

Northern Lion Gold Corp.: 5,000m of Rotary Prospect Drilling-Airborne EM Survey Awaiting Permit, Republic of Cyprus

VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 14, 2011) - Northern Lion Gold Corp. (the "Company" or "Northern Lion") (TSX VENTURE:NL)(FRANKFURT:N3E) wishes to announce the exploration plans to the end of 2011. The program includes over 1,000 line kilometers of a time-domain electromagnetic system (VTEM) airborne geophysical survey and 5,000 meters of rotary drilling, as well as continuing with the ongoing mapping, prospecting, soil and rock sampling.

The airborne survey is awaiting final approval of the proposed flight path and area to be surveyed from the government department of Civil Aviation. The survey will commence within 3 weeks of the receipt of the permit. It will encompass all of the Company's western permits and the favourable stratigraphic horizons within the southwestern portion of the Troodos complex.

Based on a compilation of the previously completed drilling and the results of the ongoing surface exploration the Company believes that the Anglesides – St. Nik style of mineralization, which is significantly enriched in precious metals, represents a late or waning stage of the hydrothermal system that operated throughout the period of volcanism in Cyprus. The correlation of these two high grade showings with the volcanic – sedimentary contact provides a new target for further exploration on the island.

Northern Lion continues to collect rock and soil samples over known gossan zones and this work has been expanded to include those areas believed to have potential for the St. Nik style mineralization. This work has already identified a new St. Nik style showing which has been covered by the Company's latest permit application. These ground based geochemical surveys in conjunction with the airborne geophysical survey are expected to generate additional drill prospect targets for the rotary program. The rotary drill is a quick and extremely cost efficient prospecting tool which will aid in outlining the lateral extent and the level of mineralization of buried targets. Rotary holes are initially planned to test additional targets in the Anglesides area, and to evaluate the potential extensions of the St. Nik mineralization beneath the sedimentary cover.

The results from the 2011 diamond drill program on the Pitha, Anglesides and Asproyia projects, are discussed below. The overall drill program totaled 2,863.2m in 32 holes which tested 5 separate targets as shown in the following table.

Project Drilled Meters Drilled
Pitha 7 938.6
Anglesides 6 384.6
St. Nik 7 541.1
Asproyia 7 576.8
Evoloimeni 5 422.1

Results of the St. Nik and Evoloimeni drilling were previously released April 6, 2011 and June 29, 2011 and returned 4.5 g/t gold over 28.6 meters and 1.3 g/t gold over 24.3 meters respectively.

Pitha Project

At the Pitha project, the drill program was designed to follow-up on the 2010 results and test geochemical and geophysical Induced Polarization (IP) targets. A single hole (11PT03) was drilled within the pre-existing cut to test for a possible extension of the massive sulphide zone encountered in a hole drilled in 2010 (10PT02), which returned 4.9 meters of 5.1% copper and 0.2 g/t gold within a larger interval of 38.9 meters of 0.8% copper and 0.2 g/t gold (see news release September 29, 2010). Narrow intercepts of massive pyrite were encountered with minor copper and zinc values. Holes 11PT04, 05 and 06 tested IP targets with coincident geochemical anomalies in the southern portion of the property. In 11PT04 a 33.8m zone contained anomalous gold and silver mineralization starting near surface and correlates with surface rock samples containing up to 2g/t gold. Sporadic gold values were intersected along with stringer type copper mineralization in holes 11PT05 and 06. These intercepts occur within the Basal Group rocks.

Hole 11PT07 tested a strong IP chargeability anomaly in Lower Pillow Lavas associated with a weak soil anomaly 400m north of the cut area. Abundant disseminated to stringer type pyrite mineralization was encountered with minor gold, copper and zinc values. Holes 11PT08 and 09 targeted a combined IP chargeability and zinc-gold soil geochemical anomaly within the Upper Pillow Lava series. Strongly altered pillow lavas were encountered in 11PT08 with weakly anomalous gold values. Drill hole 11PT09 intersected a major northerly trending structure carrying anomalous values in gold, silver copper and zinc over a width of 29.9m. Within this large structure a narrower zone of 9.6m contained elevated gold, silver and zinc values that correlate with a zone of surface gossans.

Pitha - Significant assay drill results:
From To Interval Au Ag Cu Zn
Hole # (m) (m) (m) g/t g/t % %
11PT03 6.6 86.6 80.0 0.15 1.1 0.1 0.11
incl 6.6 40.6 34.0 0.19 1.0 0.21 0.22
incl 6.6 26.5 19.9 0.16 0.96 0.24 0.34
11PT04 22 55.8 33.8 0.24 1.48 0.23 0.17
11PT09 37 66.9 29.9 0.28 3.9 0.08 0.5
incl 37 46.6 9.6 0.74 9.2 0.02 1.1

Angelsides Project

At Anglesides a series of 6 holes were desigined to test several target types; the area immediately surrounding the surface rock sampling, a strong IP resistivity anomaly located southwest of the surface sampling, and a weak IP chargeability high to the east. Anomalous gold values up to 2.36g/t over 0.5m was intersected in holes 11AN01 to 03, however the high grade values from the surface rock sampling was not repeated. Two samples in hole 11AN03 returned very high silver grades of up to 585g/t over 1.8m. It is hypothesized that the gulley tested by the surface sampling may represent an ancient open pit mined by the Romans. The material sampled by the Northern Lion field crew, including 10 meters of 6.6 g/t gold, (News Release September 15, 2010) is now thought to be the material that was left behind on the walls of the excavation, after Romans had removed the high grade massive sulphides.

The grade and location of the mineralization within the stratigriaphic section at Anglesides is similar to the mineralization found at St. Nikolas. In both locations there are unweathered and silicified massive sulphides at or close to the contact with the overlying sedimentary sequence. Follow-up work at Anglesides will focus on testing this Upper Pillow Lavas – Sediment contact zone.

Angelsides - Significant assay drill results:
From To Interval Au Ag Cu Zn
Hole # (m) (m) (m) g/t g/t % %
11AN01 0 8.1 8.1 0.4 3.0 0.36 0.26
incl 2.6 9.8 7.2 0.39 3.0 0.47 0.19
11AN02 0 33.8 33.8 0.37 2.3 0.33 0.16
incl 0 12.6 12.6 0.5 3.7 0.55 0.34
11AN03 2.5 33.4 30.9 0.34 37.0 0.35 0.02
incl 2.5 20.1 17.6 0.49 65.1 0.47 0.03
incl 4.4 6.8 2.4 0.54 448.0 0.61 0.03

Asproyia Project

The Asproyia property was tested by 7 holes targeting a combination of geochemical and IP geophysical targets. The majority of the Asproyia grid area is underlain by Basal Group rocks and the style of mineralization encountered in the drilling reflects this environment. Chalcopyrite filled fractures and stringers up to 1cm wide were intersected in all holes. Drill hole 11AS02 returned 0.57% copper over a 49.7m interval. This mineralization is believed to represent a feeder system to a mineralized zone higher in the stratigraphic section and has subsequently been removed by erosion.

Asproyia - Significant assay drill results:
From To Interval Au Ag Cu Zn
Hole # (m) (m) (m) g/t g/t % %
11AS01 3 38.8 35.8 0.03 0.1 0.4 0.02
11AS02 4.5 80.1 75.6 0.02 1 0.42 0.01
incl 24.6 74.3 49.7 0.02 1 0.57 0.01
11AS05 20.2 22.5 2.3 0.02 0.3 1.27 0.01
11AS07 48.9 100 51.1 0.01 0.1 0.37 0.01


The history of mineral exploitation (copper, gold and other metals) on the island of Cyprus dates back to the Bronze Age, approximately 5,000 years ago. The Phoenicians were the first to process copper on the island, followed by the Romans and this activity has continued to the present day. The evidence of this long history of mining is readily observed in the abundant ancient surface and underground workings along with extensive slag heaps. Mineral exploration in the Republic of Cyprus has been at a very low level over the last few decades, and management believes that there is a high probability of additional massive sulphide bodies being present that did not outcrop, as nearly all of the known deposits did.

The metal deposits of Cyprus are dominantly copper-bearing volcanogenic hosted massive sulphide "VHMS" deposits. These deposits are hosted within the pillow lava sequence of the Troodos Ophiolite Complex.

Quality Control and Assurance

The Company's field activities in Cyprus are under the direction of Jim Chapman, P.Geo. (BC), consultant to the Company and "qualified person", as defined by National Instrument 43-101, who is responsible for the technical content of this news release.

About Northern Lion

Northern Lion Gold Corp. is a Canadian mineral exploration company, listed on the TSX Venture Exchange and the Frankfurt Exchange. The Company is committed to building a strong portfolio of projects within mining-friendly and infrastructure-rich areas of Europe.

In addition to its exploration permits in Cyprus, the Company holds a 100% interest in its Moura Licence in Portugal and a 100% interest in one project in the historic Bergslagen mining district of southern Sweden.


John Lando, President

This news release includes "forward-looking information", as such term is defined in applicable securities laws. The forward-looking information includes, without limitation, the success of exploration activities and other similar statements concerning anticipated future events, conditions or results that are not historical facts. These statements reflect management's current estimates, beliefs, intentions and expectations; they are not guarantees of future performance. The Company cautions that all forward-looking information is inherently uncertain and that actual performance may be affected by a number of material factors, many of which are beyond the Company's control. Such factors include, among others, risks and uncertainties relating to exploration and development; the ability of the Company to obtain additional financing; the Company's limited operating history; the need to comply with environmental and governmental regulations; potential defects in title to the Company's properties; fluctuations in currency exchange rates; fluctuating prices of commodities; operating hazards and risks; competition; and other risks and uncertainties. Accordingly, actual future events, conditions and results may differ materially from the estimates, beliefs, intentions and expectations expressed or implied in the forward-looking information. All statements are made as of the date of this news release and, except as required by law, the Company is under no obligation to update or alter any forward-looking information.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.

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